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Changes Coming Soon for Some TRICARE Select Retired Beneficiaries

Starting on Jan. 1, 2021, TRICARE Select Group A retired beneficiaries must pay monthly enrollment fees in order to maintain their TRICARE health coverage. This is a change, and the first time this beneficiary group will pay enrollment fees.

“In 2021, some TRICARE beneficiaries will pay enrollment fees for the first time, a change mandated by Congress,” said Dr. Danita Hunter, director of the TRICARE Health Plan at the Defense Health Agency. “We’re communicating this well before the change is implemented so beneficiaries can be informed about the change, as well as their TRICARE plan and cost options.”

Here are the key points you need to know.

What’s happening?

Retired TRICARE Select beneficiaries will have to pay enrollment fees. This change was mandated by Congress in the National Defense Authorization Act for Fiscal YearOctober 1 - September 30 2017. Congress granted the Defense Health Agency a delay in implementation to calendar year 2021.

Who’s impacted?

This change only affects Group AIf you or your sponsor’s initial enlistment or appointment occurred before January 1, 2018, you are in Group A. retirees and their family members enrolled in TRICARE Select. You’re in Group A if your initial enlistment or appointment or that of your uniformed services sponsor began before Jan. 1, 2018. Active duty family members enrolled in TRICARE Select will experience no change, and won’t pay enrollment fees.

If you use7 TRICARE For Life, TRICARE Prime, or a premium-based plan, like TRICARE Reserve Select, TRICARE Retired Reserve, or TRICARE Young Adult, this change won’t affect you. To check your plan’s costs, use the TRICARE Compare Cost Tool.

This applies to me. When do I need to take action?

You must set up a monthly allotment through your Department of Defense (DoD) pay center, where feasible, for your monthly payments to start on Jan. 1, 2021. For sponsors who don’t receive funds through a DoD pay center, you can establish payments via electronic funds transfer, credit card, or debit card. Your regional contractor will soon issue instructions to set up payment.

What are the 2021 enrollment fees for TRICARE Select Group A retirees?

The enrollment fees will be collected via monthly installments from the sponsor’s military pay system where retired pay is disbursed.

  • Individual plan: $12.50 per month
  • Family plan: $25 per month

How can I stay informed and prepare for this change?

Visit the TRICARE Select Enrollment Fees page on the TRICARE website for updates and sign up for email alerts. TRICARE will inform you of specific actions you need to take in the coming months. Take command of your health and your health care benefits in 2020.

At the time of posting, this information is current. For the most recent information, contact your TRICARE contractor or local military hospital or clinic.

Source: Tricare website: https://tricare.mil/CoveredServices/BenefitUpdates/Archives/06_22_2020_Changes_Coming_Some_TRICARE_Select_Retired_Beneficiaries?NavContext={68EF1CC1-D05F-485B-883A-E24160FE942A} 

More information about: Veterans and Service Members Health

News Topic(s): Health